Colefax reports pre-tax profit growth as core US market improves
Source - SMW
Colefax, an international designer and distributor of furnishing fabrics & wallpapers, announced pre-tax profit rose 35% to £2.56m for the six months ended 31 October 2017.
Group sales rose 6.5% to £42.08m (2016: £39.53m); up by 5.1% on a constant currency basis, while Group pre-tax profit rose 35% to £2.56m (2016: £1.90m).
The upbeat pre-tax growth was driven by 'improving trading conditions' in its core US market and an 'encouraging performance' in its decorating division.
The group reported earnings per share increased by 44% to 18.0p (2015: 12.5p), net cash increased to £9.5m (2016: £8.0m), while the interim dividend rose by 4% to 2.40p per share (2016: 2.30p)
The core fabric division sales rose 4.6% to £36.47m, while decorating division saw first half profits increase by £297,000.
David Green, Chairman, said: 'The Group has made good progress over the last six months helped by improving trading conditions in our core US market and an encouraging performance by our Decorating Division.' ' With a strong order book for the second half, we now expect the Decorating Division to exceed our original expectations for the full year.'
'The Group has a strong balance sheet with cash of £9.5 million and we will continue to invest with confidence in our portfolio of brands and worldwide distribution network.'
At 8:30am: (LON:CFX) Colefax Group PLC share price was +15p at 530p